The long-gestating sequel Deadpool 3 has just taken a huge step forward. The Hollywood Reporter reports that Shawn Levy, with whom Ryan Reynolds worked with on Free Guy and the newly-released Netflix film The Adam Project, has just been tapped to direct the third Deadpool. This is a significant update after the project has rolled around in development hell where it's seemingly made very little progress with its development. Reynolds has also released a poster for the film teasing his third project with Levy.

Reportedly, Rhett Reese and Paul Wernick are working on the screenplay for Deadpool 3 after penning the previous installments. At one point, the writers stepped back for Wendy Molyneux and Lizzie Molyneux-Logelin (Bob's Burgers) to write the script, though it seems they're no longer involved. It's clearly taking some time to get the story just right for Deadpool 3, but it's definitely a great sign that a director is in place, and even better that it's someone who's established a great working relationship with Ryan Reynolds.

The Deadpool movies are highly lucrative with the original earning over $781 million with Deadpool 2 drawing $785 million worldwide, despite their R-ratings. When the franchise was picked up by Disney with the acquisition of 20th Century Fox, there had been some fan concerns that Deadpool 3 would have to tone down the character in order to achieve a lighter rating. Marvel head Kevin Feige has since assured fans that this won't be the case, as Deadpool will be one of the very few titles to warrant being rated R.

"It will be rated R and we are working on a script right now, and Ryan's overseeing a script right now," Feige explained last year, noting that Deadpool will also be a part of the MCU. "Ryan is a very busy, very successful actor. We've got a number of things we've already announced that we now have to make, but it's exciting for it to have begun. Again, a very different type of character in the MCU, and Ryan is a force of nature, which is just awesome to see him bring that character to life."

Related: Ryan Reynolds Gives Deadpool 3 Script Update, But Denies Doctor Strange Cameo Despite New Images

Deadpool 3 Has Been in the Works For Several Years

deadpool-taxi
20th Century Fox

There have been plans to make Deadpool 3 ever since Deadpool 2 destroyed the box office, but the sequel was stalled with the Disney acquisition. That didn't kill the project but it's taken years to get the pieces in the right place for production to really start chugging along. Putting a talent like Shawn Levy into the director's chair is a great step forward and it follows a tease from Reynolds last month that Deadpool 3 updates were imminent.

"We pretty much talk about everything, but I'll say this about that particular subject is I'll have a batch of updates on that sooner rather than later, I hope," Reynolds said a few weeks back. "So I'll be able to get into stuff about Deadpool a little bit more clearly and definitively down the road."

Deadpool 3 still does not yet have an official release date.